Lease Option Pitfall Number 5 Now this is a very important Pitfall to avoid. You need to make money in this business or don’t do it. You can’t afford mistakes. This is a big one. In our paperwork, we have a weasel Clause that says if we don’t get a tenant buyer that’s suitable, the […]
Lease Option Pitfall Number 2 Not getting a proper title search against the property is Pitfall number two. This has happened to me with one of my students. We did a title search and it said the title was in the name of one person, the occupant. This man wanted to do a lease purchase […]
Lease Option Pitfall Number 1 For people that are new to “lease with option”, you can either do it one of two ways, the first way is to be in the middle or a sandwich lease option, where you are lease optioning from the seller, and then subleasing and sub option to a tenant. Now […]
Lease Option Pitfall Number 3 Protecting the seller from getting sued personally and getting a lien or a judgment with this particular property is it important part of dealing with least options. We’re going to talk about Land Trust now, and if you search this site on “Land Trust” you will learn a lot about […]
Lease Option Pitfall Number 4 Not using a loan servicer so that your payment goes directly to paying the mortgage company PITI. So the solution to making sure that the loan stays current and the seller owner of the property does not neglect to pay the mortgage on time, we use a loan servicer. These […]
Negotiating the Deal for a Sandwich A sandwich is a sandwich lease option or a sandwich land contract. You’re acting as a middleman. So here’s an example. Let’s say the property is worth $100,000. Market rent is $1,000 a month. When you do the sandwich, you have to negotiate a sales price less than $100,000 […]